Contrasting Janus International Group (NYSE:JBI) & Builders FirstSource (NYSE:BLDR)
by Danessa Lincoln · The Markets DailyBuilders FirstSource (NYSE:BLDR – Get Free Report) and Janus International Group (NYSE:JBI – Get Free Report) are both industrials companies, but which is the superior stock? We will contrast the two companies based on the strength of their earnings, valuation, profitability, institutional ownership, analyst recommendations, risk and dividends.
Profitability
This table compares Builders FirstSource and Janus International Group’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Builders FirstSource | 0.71% | 11.73% | 4.32% |
| Janus International Group | 3.68% | 11.27% | 4.88% |
Volatility and Risk
Builders FirstSource has a beta of 1.45, meaning that its share price is 45% more volatile than the S&P 500. Comparatively, Janus International Group has a beta of 1.43, meaning that its share price is 43% more volatile than the S&P 500.
Earnings and Valuation
This table compares Builders FirstSource and Janus International Group”s top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Builders FirstSource | $14.45 billion | 0.40 | $435.20 million | $0.91 | 59.01 |
| Janus International Group | $884.20 million | 0.66 | $53.80 million | $0.24 | 17.69 |
Builders FirstSource has higher revenue and earnings than Janus International Group. Janus International Group is trading at a lower price-to-earnings ratio than Builders FirstSource, indicating that it is currently the more affordable of the two stocks.
Insider & Institutional Ownership
95.5% of Builders FirstSource shares are held by institutional investors. Comparatively, 88.8% of Janus International Group shares are held by institutional investors. 2.7% of Builders FirstSource shares are held by insiders. Comparatively, 4.7% of Janus International Group shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.
Analyst Ratings
This is a breakdown of recent recommendations and price targets for Builders FirstSource and Janus International Group, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Builders FirstSource | 3 | 13 | 9 | 0 | 2.24 |
| Janus International Group | 1 | 2 | 1 | 0 | 2.00 |
Builders FirstSource presently has a consensus target price of $84.50, indicating a potential upside of 57.34%. Janus International Group has a consensus target price of $7.30, indicating a potential upside of 71.97%. Given Janus International Group’s higher probable upside, analysts plainly believe Janus International Group is more favorable than Builders FirstSource.
Summary
Builders FirstSource beats Janus International Group on 9 of the 14 factors compared between the two stocks.
About Builders FirstSource
Builders FirstSource, Inc., together with its subsidiaries, manufactures and supplies building materials, manufactured components, and construction services to professional homebuilders, sub-contractors, remodelers, and consumers in the United States. It offers lumber and lumber sheet goods comprising dimensional lumber, plywood, and oriented strand board products that are used in on-site house framing; manufactured products, such as wood floor and roof trusses, floor trusses, wall panels, stairs, and engineered wood products; and windows, and interior and exterior door units, as well as interior trims and custom products comprising intricate mouldings, stair parts, and columns under the Synboard brand name. The company also provides specialty building products and services, including vinyl, composite and wood siding, exterior trims, metal studs, cement, roofing, insulation, wallboards, ceilings, cabinets, and hardware products; turn-key framing, shell construction, design assistance, and professional installation services. In addition, it offers software products, such as drafting, estimating, quoting, and virtual home design services, which provide software solutions to retailers, distributors, manufacturers, and homebuilders. The company was formerly known as BSL Holdings, Inc. and changed its name to Builders FirstSource, Inc. in October 1999. Builders FirstSource, Inc. was incorporated in 1998 and is based in Irving, Texas.
About Janus International Group
Janus International Group, Inc. manufacturers and supplies turn-key self-storage, and commercial and industrial building solutions in North America and internationally. The company offers roll up and swing doors, hallway systems, relocatable storage moveable additional storage structures units, and other solutions. It also provides facility and door automation and access control technologies; and Noke smart entry system. The company was founded in 2002 and is headquartered in Temple, Georgia.